Eight months after announcing plans to develop its own stablecoin, $XRP issuer Ripple launched Ripple USD ($RLUSD), a stablecoin backed by the US dollar, globally on major stock exchanges on December 17. December 2024.
What is the meaning?: The launch of $RLUSD is intended to offer cryptocurrency traders another USD-backed stablecoin that features strong regulatory compliance and easier access to trading and DeFi opportunities.
About stablecoin: $RLUSD is launched under the trust company charter of the New York State Department of Financial Services (NYDFS).
- backups: The stablecoin is fully backed by US dollar deposits, government bonds and cash equivalents; Monthly independent reserve certificates will be published for greater transparency.
- List: $RLUSD is available on platforms such as Uphold, Bitso, MoonPay, Archax and CoinMENA, with the promise of more listings in the future.
- Blockchain Integration: $RLUSD operates on the XRP Ledger and Ethereum blockchains.
- $RLUSD Goal: The stablecoin aims to set new standards for stablecoins, focusing on trust, utility and compliance to drive global adoption and modernize payments.
RLUSD Use Cases, as assured by Ripple:
- Instant settlement for cross-border payments.
- Access to liquidity for remittance and treasury operations.
- Integration with DeFi protocols.
- A bridge between the fiat and crypto ecosystems.
- Collateral for real-world tokenized assets.
The Advisory Council: Consequently, Riplle formed an advisory board for $RLUSD to ensure the company’s dedication to excellence and integrity in the world of stablecoins and digital finance. The board members are:
- Chris Larsen, CEO of Ripple
- Raghuram Rajan, former governor of the Reserve Bank of India
- Kenneth Montgomery, former vice president and chief operating officer of the Federal Reserve Bank of Boston
- Sheila Bair, former president of the Federal Deposit Insurance Corporation
- David Puth, former executive director of the CENTER Consortium
Key quote:
“Stablecoins could become the backbone of private payments by offering a secure, scalable and efficient alternative to traditional systems. With its focus on compliance and reliability, RLUSD aims to set new standards of trust and play a critical role in shaping the future of payments. Joining the Advisory Board gives me the opportunity to advise RLUSD as it embarks on its journey in the rapidly evolving financial landscape.”
Raghuram Rajan, former governor of the Reserve Bank of India
What’s next? Ripple Payments will begin using $RLUSD in 2025 to support enterprise customers, benefiting from Ripple’s more than $70 billion in payments volume and more than 90 payments markets.
worth reading: Ripple announced its plan in April 2024 to launch a stablecoin fully backed by US dollar deposits and government securities.
This article is published on BitPinas: Ripple Launches USD-Backed Stablecoin, $RLUSD
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